What is PERKESO Lindung24?
Everything you need to know about the new PERKESO Lindung24 scheme
If you run payroll in Malaysia, you have likely spent the last month fielding questions about the new PERKESO Lindung24 scheme. It went live on June 1, 2026, creating an immediate administrative shift across HR departments. As of 8 July 2026, the government announced a major update: participation is now voluntary for Malaysian citizens.
Here is exactly what Lindung24 is, how the deductions work, and what the latest rules mean for your payroll processing.
The Basics of Lindung24
Officially named Skim Kemalangan Bukan Bencana Kerja (SKBBK), Lindung24 is a protection scheme managed by the Social Security Organization (PERKESO/SOCSO). Traditionally, SOCSO only covered accidents that happened at work or during the daily commute. Lindung24 extends that coverage to 24 hours a day.
If an employee falls at home on a weekend, gets injured playing sports, or gets into a personal road accident on a public holiday, this scheme provides a safety net. It offers temporary and permanent disablement benefits, medical coverage at government or panel clinics, and support for dependents if a non-work-related accident results in death. It functions more like a baseline personal accident policy than a standard medical card.
The Contribution Rates
The government built Lindung24 around an initial contribution rate of 0.75% of an employee’s monthly salary. However, HR does not calculate this percentage manually. To prevent rounding errors, PERKESO uses a fixed statutory schedule of wage brackets to determine the exact deduction, capped at the current salary ceiling of RM6,000. Unlike standard SOCSO, Lindung24 is funded entirely by the employee with no employer share.
PERKESO Lindung24 will be rolling out in phases:
- 0.75% for the first two years (Phase 1)
- 1.0% for the next three years (Phase 2)
- 1.25% from the sixth year onwards (Phase 3)
For a concrete example of the current Phase 1 deduction, take an employee earning a basic salary of RM5,000 a month. They fall into the statutory wage band of RM4,900 to RM5,000, which carries an assumed wage midpoint of RM4,950.
- Invalidity deduction (0.5%) will be RM24.75
- (NEW) SKBBK Contribution (0.75%) will be RM37.15
The total PERKESO deduction for the month will be RM61.90.
To find the exact deductions for every wage bracket, you can refer to the official PERKESO statutory contribution table.
The Pivot to Voluntary Participation
On 8 July 2026, the Ministry of Human Resources announced a major shift in the policy. Lindung24 is now strictly voluntary for Malaysian employees. While it remains mandatory for foreign workers, Malaysian citizens can choose whether to maintain this 24/7 coverage.
Employees who wish to withdraw from the scheme can officially opt out via the online Lindung24 portal.
What This Means for Payroll
This shift from mandatory to voluntary puts the administrative load directly on HR and payroll personnel. You now have two distinct groups of local employees: those keeping the additional deduction for the 24/7 coverage, and those opting out.
If an employee tells you they want to opt out, you need their official release of liability confirmation from the PERKESO portal before you stop the deduction. Stopping the deduction without that digital paper trail could leave the employer liable if an accident occurs later. PERKESO has also clarified that contributions made in June before the opt-out takes effect will not be refunded, as the employees received active coverage during that month.
For the most up-to-date policy details, release of liability forms, and employer guidelines regarding Lindung24, visit the official PERKESO website.
Managing fluctuating deductions manually on spreadsheets leaves room for compliance errors, especially when regulations shift abruptly. If keeping up with payroll calculations, statutory updates, and contribution files is becoming a headache, a dedicated system makes a difference. Goldosft ERP features a robust payroll module designed specifically for Malaysian businesses. It handles your complex statutory calculations and generates the required submission files automatically, freeing you up to focus on running your business rather than wrestling with spreadsheets.
Contact us at 03-2732 8833 or fill in the form below to discover how our ERP solution can help your business operations.
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